The Real-Income and the Substitution Effects Reinforce Each Other by

Multiple Choice

The real-income and the substitution effects reinforce each other by

A) increasing the consumption of good y when the price of x falls.
B) increasing the consumption of both goods x and y when income increases.
C) decreasing the consumption of good x when the price of good y falls.
D) decreasing the consumption of good x when the price of good x increases.